Fannie Mae & Freddie Mac

[CuteOldGuy]

Interesting history lesson.

http://www.boortz.com/weblogs/nealz-...-back-machine/

I thought it was all Bush's fault. Now I'm confused.

[Af-Freakin]

Fall 2003. Bush Administration pushing hard to get congress to establish a new federal agency to regulate and supervise Fannie and Freddie.



I thougt u republicans were against more regulation. LOL

[CuteOldGuy]

I'm not a Republican.

[Whirlaway]

And Bush wasn't a Conservative !

[Little Stevie]

I KNEW it would only be a matter of time before some yahoo threw out the "Barney Frank Card". First, Neal Boortz is a MAROON! Second, the Community Reinvestment Act was passed under CARTER in 1979 and worked fine until greedy mortgage bankers skirted buying Mortgage Default Insurance and began "creating" funny money derivatives called Credit Default Swaps!

The CDS's basically covered ANY loan they wanted to make and the bankers and mortgage lenders were greedy enough to loan to anyone with a pulse and then sell the paper to investors while relying on an unproven instrument to guarantee the packaged loans.

BTW, the CRA never ever required that ANY lender lend to people who could not pay the loans back or who was not credit-worthy. That is why deregulation of the derivative market caused the crash after years of the CRA not having a problem.

And if you think by some strange quirk, that all this money went to the people applying for loans, why don't you tell us why the banks and lenders have it now?

Why don't ALL of YOU who are still spreading the Barney Frank Fairy Tale or are listening to AM Hate Radio Pot Stirrers learn what REALLY happened?

This should tell you how Greenspan kept the ball rolling for his buddies in the financial markets and how a very smart woman tried to warn them of the impending doom!

http://www.pbs.org/wgbh/pages/frontline/warning/view/

Despite Brooksley Born's warning and the attempts made by Elizabeth Warren, the banks are still playing with fire and using derivatives and warding off adequate regulation with powerful Republican allies who don't want YOU regulating THEIR gravy train.

[CPT Savajo]

Originally Posted by CuteOldGuy

Interesting history lesson.

http://www.boortz.com/weblogs/nealz-...-back-machine/

I thought it was all Bush's fault. Now I'm confused.

While were at it lets lump Sallie Mae into that category. Thats a bubble that needs to burst open! There are millions of people in this country that are ridden with student loan debt and it is killing the upcoming generation of Americans! Ouch!!!

[I B Hankering]

Notice how this forum's intelligence quotient drops when "Little Stevie" posts here?

Originally Posted by Little Stevie

I KNEW it would only be a matter of time before some yahoo threw out the "Barney Frank Card".

Little Stevie, do you have a personal interest in "covering" Barney Frank's ass? After all, he was just a cock-sucker (literally) who saw to it that his boytoy-bottom boy was hired and employed by Fannie Mae but didn't trouble himself to oversee the interests of the American taxpayer.

Here’s a couple of other names you forgot to mention: Secretary of the Treasury Robert Rubin, and his successor, Larry Summers, who worked for "Slick Willie"—Dimocraps one and all.

Rubin actively fought against regulating the derivatives market, while Summers personally endorsed and promoted the Gramm-Leach-Bliley Act. And “Slick Willie”? Oh yeah, he’s the one who actually signed the Gramm-Leach-Bliley bill into law after Rubin and Summers encouraged him to do so.

Summers thoughts on the subject: "to date [1998] there has been no clear evidence of a need for additional regulation of the institutional OTC derivatives market, and we would submit that proponents of such regulation must bear the burden of demonstrating that need."

BTW, that Dimocrap Obama hired Summers as the director of the White House National Economic Council, until Summers came under fire for accepting perks from Citigroup, including free rides on its evil corporate jet in 2008. The Wall Street Journal, reported that Summers called Senator Chris Dodd (D-CT) and asked Dodd to remove caps on executive pay at firms that have received stimulus money, including Citigroup.

Matters grew worse for Obama and Summers when, on April 3, 2009, Summers came under renewed criticism for receiving millions of dollars in pay from companies which he monitored as a public servant. Summers earned $5 million from the hedge fund D. E. Shaw, and collected another $2.7 million in speaking fees from Wall Street companies that received government bailout money. (BTW, how is that whole "transparency thing" working out for you?)

Originally Posted by Little Stevie

Second, the Community Reinvestment Act was passed under CARTER in 1979 and worked fine until greedy mortgage bankers skirted buying Mortgage Default Insurance and began "creating" funny money derivatives called Credit Default Swaps!

The CDS's basically covered ANY loan they wanted to make and the bankers and mortgage lenders were greedy enough to loan to anyone with a pulse and then sell the paper to investors while relying on an unproven instrument to guarantee the packaged loans.

BTW, the CRA never ever required that ANY lender lend to people who could not pay the loans back or who was not credit-worthy. That is why deregulation of the derivative market caused the crash after years of the CRA not having a problem.

But business was sure good—at least for a while—for champion Dimcrap supporter Angelo Mazilo, Countrywide's Chief Executive Officer. Ol' Angelo was one those who personally benefited from sub-prime lending practices. And it was great to be an "FOA" — "Friend of Angelo": ask chairman of the Senate Banking Committee, Christopher Dodd (D-CT); the chairman of the Senate Budget Committee, Kent Conrad (D-ND); and the former CEO of Fannie Mae: Jim Johnson (Dimocrap associate of McCarthy, McGovern, Carter, "Slick Willie" and the Anointed One). They all received excellent mortgage terms and some sizable campaign donations from Ol' Angelo.

[CPT Savajo]

There's a lot of moving parts and it's complicated to say who's fault the mortgage meltdown was. No one should doubt that 2007 was the top of the market. Anyone buying real estate during that time frame pretty much got crushed if they bought in the wrong areas that were hit the hardest as they helplessly watched their homes value plummet, along with their retirement 401k accounts. There's a lot of cheap property that is very affordable around the nation right now, especially in Florida and Nevada from what I've researched.

People can point the finger at the politicians, the loan sharking lenders, Wall St, or the people who bought too much house and at the wrong time, some with no money down at 100% financing. If you add in people who had no credit or bad credit to the situation it just spells disaster. But where's there is disaster there is always opportunity. It's horrible for the people who locked in their loans for overpriced homes who could afford to make their mortgage. Thats a big delimma when they realize that their home has lost 30%-50% of it's value. Talk about being stuck with a decision.

If you add in the younger generation of millions of college students who are so debt strapped with student loan debts the future really looks bleak. How is anyone going to be able to jumpstart this economy when the majority of the population has already been crushed or is drowning under a sea of red? The thing that gets me is that teachers all around this country to include college instructors are still preaching that same old bullshit, "if you don't get good grades your not going to get a high paying job!" They just pound that shit into these kids heads for years like school is going to save them, that's nuts! Secondary education is just going to put their asses into major debt in a depressed economy. These kids are too damn busy being blinded with football and paying the premium to go to these overpriced colleges while they worship a school logo, the country is quietly imploding around them if they even notice. What makes it worse is that tuition rates all around the country keep rising, with inflation, interest, and taxes which is not helping out the situation.

To get out from all of this we've seen what people will do to make ends meet. People will start saving and this will further hurt the economy. Young women will provide services to dirty old men to pay off student loans. Of couse some will get jobs out of college and start paying down their debt and live below their means because their broke. Then there's also people who will begin the American Dream and get married right out of college, buy the big house with the white picket fence, have 3 kids, pray that a divorce or a foreclosure doesn't happen, and be in debt for life in a depressed economy. I don't see an easy way out, just more pain.

[CuteOldGuy]

Little Stevie, you were right! I read your post and learned you didn't read mine! Neal Boortz didn't write the report, it was a news briefing. It shows without question that the CRA was undermined by the Democrats, and President Bush was warning all along that something bad would happen if banks were being forced to make questionable loans.

President Bush got very little right during his Presidency, but he was on top of this one. And to say that Barney Frank, Maxine Waters, Chris Dodd are/were corrupt as hell, is simply stating the obvious.

But Boortz is generally is a moron. But I thought this factual review of the circumstances was enlightening.

[gnadfly]

I'd love to see Li'l Stevies responses. Even his PBS video shows that all the shit this woman caught was during the Clinton administration with mostly Clinton appointments-even after a hedge fund company almost went under. The video even stated the Clinton appointments didn't want to do anything because they didn't want to derail the nations prosperity. And this is the Republican's fault?

[Af-Freakin]

Originally Posted by Little Stevie

I KNEW it would only be a matter of time before some yahoo threw out the "Barney Frank Card". First, Neal Boortz is a MAROON! Second, the Community Reinvestment Act was passed under CARTER in 1979 and worked fine until greedy mortgage bankers skirted buying Mortgage Default Insurance and began "creating" funny money derivatives called Credit Default Swaps!

The CDS's basically covered ANY loan they wanted to make and the bankers and mortgage lenders were greedy enough to loan to anyone with a pulse and then sell the paper to investors while relying on an unproven instrument to guarantee the packaged loans.

BTW, the CRA never ever required that ANY lender lend to people who could not pay the loans back or who was not credit-worthy. That is why deregulation of the derivative market caused the crash after years of the CRA not having a problem.

And if you think by some strange quirk, that all this money went to the people applying for loans, why don't you tell us why the banks and lenders have it now?

Why don't ALL of YOU who are still spreading the Barney Frank Fairy Tale or are listening to AM Hate Radio Pot Stirrers learn what REALLY happened?

This should tell you how Greenspan kept the ball rolling for his buddies in the financial markets and how a very smart woman tried to warn them of the impending doom!

http://www.pbs.org/wgbh/pages/frontline/warning/view/

Despite Brooksley Born's warning and the attempts made by Elizabeth Warren, the banks are still playing with fire and using derivatives and warding off adequate regulation with powerful Republican allies who don't want YOU regulating THEIR gravy train.

Man! What the hell is wrong with you!? you making us liberals look stupid. get your shit together. dont let these azzwipes get over on us!

[cptjohnstone]

Originally Posted by Af-Freakin

Man! What the hell is wrong with you!? you making us liberals look stupid. get your shit together. dont let these azzwipes get over on us!

because you are STUPID

[Little Stevie]

I will repeat:

BTW, the CRA never ever required that ANY lender lend to people who could not pay the loans back or who was not credit-worthy. That is why deregulation of the derivative market caused the crash after years of the CRA not having a problem.

And if you think by some strange quirk, that all this money went to the people applying for loans, why don't you tell us why the banks and lenders have it now?

As far as blaming it on Clinton or Bush, I didn't. The people who conceived of and pushed through Credit Default Swaps made lending to deadbeats "possible" or at least, "insured the risk of default" with an instrument that had nowhere near the reliability or scrutiny that a mortgage default insurance policy would have had. The same people who championed them are still doing it today. They've spent additional tens of millions of dollars trying to destroy the committee rules for oversight and they were successful in fighting hard enough to make Elizabeth Warren withdraw her name as the nominee for the top post on that consumer commission.

Neal Boortz is a two-bit AM Radio Hater and Barney Frank's role was a two-bit role as well. People with the Clinton, Bush AND Obama administrations have left fingerprints all over this and the banksters have paid them well for all they've done.

Bush tried to warn them? LMAO!

[WTF]

Originally Posted by Little Stevie

I will repeat:

BTW, the CRA never ever required that ANY lender lend to people who could not pay the loans back or who was not credit-worthy. That is why deregulation of the derivative market caused the crash after years of the CRA not having a problem.

!

Seriously, you are talking to folks that just can not understand how the market worked at the time and how the derivative market amp'ed everything up beyond anything possible before.

It took all the risk out of selling these products. Once the lenders figured out how to lend without any risk(precieved) to them, game over. This happened under Bush's watch.

Originally Posted by Little Stevie

I will repeat:


Bush tried to warn them? LMAO! LMAO!

Here is Bush in 2002....Boy , not like those goals would not cause a housing bubble


http://georgewbushwhitehouse.archive.../20020617.html

Fact Sheet: President Bush Calls for Expanding Opportunities to Homeownership









Today's Presidential Action
Today, President Bush announced a new goal to help increase the number of minority homeowners by at least 5.5 million before the end of the decade. The President's aggressive housing agenda will help dismantle the barriers to homeownership by providing down payment assistance, increasing the supply of affordable homes, increasing support for self-help homeownership programs, and simplifying the home buying process & increasing education. The President also issued "America's Homeownership Challenge" to the real estate and mortgage finance industries to join in his effort to increase the number of minority homeowners by taking concrete steps to tear down the barriers to homeownership that face minority families. Background on the President's Homeownership Agenda

[CuteOldGuy]

Stevie, I agree with you that Boortz is an idiot. I'll just leave it at that.